Wheat stockpiling is restricted by the center to prevent hoarding and maintain price stability

In order to prevent foodgrain hoarding and maintain price stability, the center has set a restriction on the amount of wheat that retailers, wholesalers, processors, and large chain retailers may retain on hand as of Monday, according to a senior official. Every Friday, processors, distributors, big-box stores, and individual retailers will reveal their wheat inventories, according to a statement made by the Union Food Secretary.

pointed out that “I want to dispel the shortage of wheat in the country.” He added that as of right now, there is no proposal to revisit the prohibition on sugar exports or wheat exports.”We want prices of wheat to be stable,” he said. notified that the 3,000-ton stock limit for wholesalers will represent 70% of the processors’ processing capacity.

He explained that the policy would be 10 tonnes per outlet for large chain retailers and 3,000 tonnes overall for individual retailers. outlined how the stock limit was put in place in light of recent media reports indicating that the cost of critical commodities, such wheat, is rising. The stock limit is one of many measures (to monitor retail prices), he pointed out, adding that the purpose of its imposition is to discourage hoarding.

He further said that on April 1, 2023, the opening stock of wheat was 82 lakh metric tonnes (LMT), and on April 1, 2024, it was 75 LMT. He added that although the government had already purchased 266 LMT last year, it had already purchased 262 LMT this year and was still in the process. Wheat (in the starting stock) is therefore only 3 LMT short.

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